Azerbaijan, Baku, Nov. 18 / Trend /
The Iranian parliament confirmed yesterday a draft agreement to avoid double taxation on income and property between Iran and Azerbaijan, the Iribnews Web site reported.
The Iranian Cabinet of Ministers adopted the draft agreement June 21, 2009.
In accordance with the document, double taxation will be canceled in both countries in a move to deepen cooperation between Iran and Azerbaijan.
Azerbaijan is in talks to sign similar agreements with Denmark, India, Sweden, Ireland, Spain, Kyrgyzstan, Serbia, Saudi Arabia and Syria. The majority of the agreements will be inked next year. Azerbaijan has already reached agreements with several of these countries, although legislative supplements are needed due to their complicated tax laws.
Proposals to conclude similar agreement have been sent to 15 other countries.
Azerbaijan has also inked such agreements with Jordan, Iran, Italy, Kuwait, the Netherlands, Pakistan and Georgia, which have yet to come into force.
Azerbaijan has signed an agreement to avoid double taxation and prevent income tax evasion with 39 countries. Agreements with 32 countries are in force.
Azerbaijan signed directly 31 agreements with other countries. Official Baku also left in force an agreement adopted by Japan and the Soviet Union.
Agreements to avoid double taxation apply to direct taxes. In Azerbaijan this refers to income tax imposed on legal entities, income tax on individuals and tax on real estate and property.
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